Intelligent Carrier Selection & Rate Shopping

Automated carrier selection optimizing for cost, service level, and sustainability using real-time rate shopping and performance analytics.

Business Outcome
time reduction in carrier selection and booking processes (from 5-15 minutes to <1 minute).
Complexity:
Medium
Time to Value:
3-6 months

Why This Matters

What It Is

Automated carrier selection optimizing for cost, service level, and sustainability using real-time rate shopping and performance analytics.

Current State vs Future State Comparison

Current State

(Traditional)

Manual carrier selection based on negotiated contract rates and default routing guides. Limited rate shopping across carriers due to time constraints. Static carrier assignments without performance-based optimization. Quarterly carrier scorecarding with slow adjustments to routing guides. Manual entry of shipment details for rating and booking.

Characteristics

  • SAP
  • Oracle
  • Microsoft Dynamics
  • Manhattan
  • NetSuite
  • ShipStation
  • Pitney Bowes
  • Descartes

Pain Points

  • High risk of mistakes in manual data entry and carrier selection.
  • Static spreadsheets may not reflect real-time rate changes.
  • Limited visibility of carrier options leads to missed opportunities.
  • Inconsistent decision-making due to lack of standardized rules.
  • Time-consuming manual processes that do not scale well.
  • Difficulty in measuring carrier performance and cost savings.
  • Compliance risks due to manual processes missing regulatory requirements.
  • Limited scalability of manual or spreadsheet-based systems.
  • Manual processes are prone to human error.
  • Outdated information can lead to poor decision-making.
  • Limited carrier comparisons restrict optimal selections.
  • Inability to quickly adapt to changing market conditions.

Future State

(Agentic)

AI carrier selection engine evaluates every shipment against all available carriers and service levels in real-time, considering contracted rates, spot market rates, delivery requirements, carrier performance history, and sustainability goals. Machine learning optimizes for total landed cost including freight, damage rates, and on-time performance. System automatically books shipments with selected carrier via API integration. Continuous carrier performance monitoring with dynamic routing guide adjustments. Predictive analytics identify carrier capacity constraints and recommend proactive contract negotiations.

Characteristics

  • Contracted carrier rates and routing guides
  • Real-time spot market rates
  • Carrier performance data (on-time, damage, claims)
  • Shipment characteristics (weight, dims, destination, urgency)
  • Carrier capacity and service availability
  • Carbon emission factors by carrier/mode

Benefits

  • 10-20% reduction in transportation costs through optimal selection
  • 30-45% increase in carrier diversity (4-6 carriers utilized regularly)
  • 95-99% carrier selection accuracy vs optimal
  • 50-70% reduction in freight audit discrepancies
  • 15-25% carbon emission reduction through mode/carrier optimization

Is This Right for You?

39% match

This score is based on general applicability (industry fit, implementation complexity, and ROI potential). Use the Preferences button above to set your industry, role, and company profile for personalized matching.

Why this score:

  • Applicable across multiple industries
  • Higher complexity - requires more resources and planning
  • Moderate expected business value
  • Time to value: 3-6 months
  • (Score based on general applicability - set preferences for personalized matching)

You might benefit from Intelligent Carrier Selection & Rate Shopping if:

  • You're experiencing: High risk of mistakes in manual data entry and carrier selection.
  • You're experiencing: Static spreadsheets may not reflect real-time rate changes.
  • You're experiencing: Limited visibility of carrier options leads to missed opportunities.

This may not be right for you if:

  • High implementation complexity - ensure adequate technical resources
  • Requires human oversight for critical decision points - not fully autonomous

Related Functions

Metadata

Function ID
function-tms-carrier-selection